10-03-2004, 03:36 AM
IAS 10 provides that dividend declared after the date of balance sheet shall not be adjusted.
Usually dividends are declared in board meetings, after the date of balance sheet, keeping in view the net profit of immediately preceding financial year, then why the dividend is not adjustable in accounts of the preceding year to which it relates and why it is adjustable in the year in which it is declared?
Answers are required from only professionals or seniors.
Usually dividends are declared in board meetings, after the date of balance sheet, keeping in view the net profit of immediately preceding financial year, then why the dividend is not adjustable in accounts of the preceding year to which it relates and why it is adjustable in the year in which it is declared?
Answers are required from only professionals or seniors.
